South African central bank’s gold and foreign exchange holdings increased more-than-expected in February, figures from the South African Reserve Bank showed Friday.
Gross reserves grew to $45.75 billion from $45.12 billion in January. Economists had forecast $45.5 billion reserves.
Gold reserves increased to $4.96 bilion from $4.48 billion in the previous month. Foreign exchange reserves climbed to $38.31 billion from $38.16 billion.
The increase in the gross reserves was mainly due to the increase in the dollar gold price and the maturing of foreign exchange swaps conducted to sterilize client-related foreign exchange purchases, the SARB said.
These gains were partially offset by the appreciation of the US dollar against most currencies and foreign exchange payments made on behalf of the National Treasury, the bank added.
The material has been provided by InstaForex Company – www.instaforex.com